When you purchase property, such as a single-family home, it can be easier to understand the property's value. The value is based on the size and quality of the house. With land, evaluating the value is a little more complicated. Multiple steps need to take place to appraise the value of a piece of land.
1. Learn About the Land
When it comes to appraising land, you must research the land. You need to find out where the land is located. You need to find out about the zoning maps for the land, and what type of systems are connected to the land. Learning the details about the land is the first start of the appraisal process.
2. Understand the Zoning
You need to understand the zoning of the land. Zoning restrictions can impact how you can use the land, which will directly impact the value of the land. Land that is zoned for commercial usage will have a different value than residential land. This is an essential part of the appraisal process.
3. Accessibility of the Land
Next, you need to consider how accessible the land is. Can you turn off the main road directly onto the property? Do you have to access the property down a private road? Do you need an easement to access the property? Or is the land boxed in, with no way to access it?
The ability to access the land can impact the value of the land. Generally, the easier the land is to access, the more value the land has.
4. Surrounding Features
You need to consider the surrounding features of the land. With vacant land, this includes things such as utility access. For example, are their power lines that run to the property? Or are there gas lines that extend to the property? Is the land pleasing in other ways, like views of city skylines or private waterfront access?
These surrounding features can impact the value of the land. Being able to access utilities can increase the value of your land. Having access to surrounding features increases the value of your land.
5. Real Estate Trends
Finally, it is essential to evaluate real estate trends. The value of nearby land and properties will impact the value of the land you are interested in purchasing.
If you want to purchase some land, you are going to want to get the land appraised. With a formal land appraisal process, you will have a real understanding of the value of the land. To learn more, contact a professional land appraiser for their services.
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